Thursday, November 20, 2008

Auto Industry Bailout

The thought of giving money to the North American Automotive Manufacturers is sickening.  However, the impact of these companies and the companies that support them is massive.  Make no mistake about it the ripple effect of a collapse will hit Walmart sales associates, barmaids, public transit workers, and just about anybody that works for an organization dependent on customers who buy goods or pay for the services it provides. 

I have to advocate helping these companies but WITH CONDITIONS and that they provide a realistic business plan.  The Unions will also have to help out - they will have the choice to participate cooperatively in a constructive renewal or be the victims of an even more painful bankruptcy process.  They won't like this ("spreading the wealth" is highly selective) but there really is no choice.  I may not be a union guy, but I don't believe in singling out the unions as the sole source of the problems.  Management style that failed to keep pace with change in the world and punitive Government policies are equally to blame.

It is essential this be done but management, the unions, and government have to go home, do some homework, and do some thinking before things can go forward.   The citizenship  is right to say no government money to just prolong keeping things the way they have been.